What is commercial property insurance data analytics?
Commercial property insurance data analytics involves using technology to gather and analyze large amounts of data, including third party data, in order to improve outcomes for property insurance companies. Technology advances such as internet of things (IoT) and cloud are creating an explosion of data. Through the use of commercial property insurance data analytics, insurers can extract value from this data and deliver improved services to the risk managers and brokers they serve, enabling closer partnerships and fresh sources of revenue. In the commercial property arena, where the focus is on protecting physical assets, data analytics is starting to transform business operations.
What are the business benefits of commercial property insurance data analytics?
Commercial property insurance data analytics provides a number of benefits:
- Improved customer experience: Armed with greater insights, insurers can become more customer-centric by anticipating their needs, optimizing their experience and personalizing the commercial property insurance services provided. Better customer service helps reduce customer churn and can help support revenue growth.
- Increased efficiency: By using commercial property insurance data analytics to mine historical data, commercial property insurers can identify ways to operate more efficiently. For example, data may show a high amount of resources devoted to supporting an unpopular product line or how more resources can be devoted to more profitable products and services.
- Accurate pricing: Commercial property insurance data analytics can also help determine accurate pricing for premiums, helping insurers manage risk and keep prices stable.
- Identify new opportunities: Systems that provide advanced analytics and modeling capabilities can help identify new growth and profitability opportunities across products, industries, business segments and geographies.
- Fraud reduction: Commercial property insurance data analytics can also play a key role in fraud reduction by preempting risks and fraud in real time.